SP New Energy Corp. (SPNEC) counts of foreign partners to help it raise the estimated P200 billion, roughly USD3.5 billion, needed to bring the Terra Solar Philippines project, touted as possibly the world’s largest solar project, into fruition.
“Right now, SPNEC owns 100 percent of Terra Solar. We will have to get new investors into the Terra Solar project to help us with the financing because the estimated cost is P200 billion to implement the project in full,” Manuel V Pangilinan, SPNEC chairman, said in a recent briefing.
Terra Solar is a wholly-owned SPNEC subsidiary developing solar farms in Nueva Ecija and Bulacan. The project looks to generate 3,500 megawatts of solar power and store 4,000 megawatt-hours in battery storage systems.
At this level, the facility should be larger than India’s Bhadla Solar Park and China’s Golmud Solar Park, currently the world’s largest solar farms at over 2,200 MW.
Pangilinan said the enterprise is talking to potential investors with the help of financial advisors. At stake are up to 40 percent equity of Terra Solar. The facility is seen completed and energized by 2026 as committed.
SPNEC in January announced starting the construction of the project’s interconnection facilities with the National Grid Corporation of the Philippines and the installation of over five million solar panels.
Some 3,000 hectares have been secured in project sites in Nueva Ecija and Bulacan and converted for industrial use.
SPNEC is controlled by the MVP Group through MGen Renewable Energy Inc. (MGreen), a wholly-owned subsidiary of Meralco PowerGen Corp. after a series of acquisitions.
MGreen recently raised its stake to 55.96 percent from 50.53 percent after acquiring 2.17 billion SPNEC shares from Solar Philippines Power Project Holdings Inc. for P2.50 billion, representing 4.34 percent.
Earlier, MGreen invested P15.9 billion for 15.7 billion worth of common and 19.4 billion preferred SPNEC shares.
